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Kathmandu Outer Ring Road (Orr) Development Project

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KATHMANDU OUTER RING ROAD (ORR) DEVELOPMENT PROJECT SALIENT FEATURES SN FEATURES CHARACTERISTICS GENERAL 1 Name of Project Kathmandu Outer Ring Road (ORR) Development Project 2 Type Urban Road & Real Estate Development 3 Project Concept Road Development (Right-of-Way 50 m) and Commercial hub development in certain section of the road PROJECT LOCATION 1 Province Kathmandu Valley Outer Ring road 2 Project location Province – 3. Chobhar, Gamcha, Satungal, Naikap-Purano Bhanjhang, Sitapaila, Nagarjun, Nepaltar, Gongabu, Tokhagaun, Chapali, Kapan, Jagdol, Sandol and Thalidachi in Kathmandu district. Similarly, Lubhu, Thaiba, Dhapakhel, Thecho, Bungamati and Chobhar in Lalitpur and for Bhakatpur ORR connects Gamphedi, Pakaunepati, Bansbari, Yangdol, Masandol, Bhatedhikuro, Naya Thimi and Dadhikot. PROJECT COMPONENT/TECHNOLOGY 1 72 km Outer Ring Road Eight-lane road of 50 meters width (6 meter setback on either side), cycle tracks, greenbelts and pavements on both the sides, along with flyovers at major junctions. SN FEATURES CHARACTERISTICS MARKET ASSESSMENT 1 Demand The current population of Kathmandu Valley is estimated to be around 5 million. Population growth and expansion of urban area of Kathmandu is causing huge pressure on existing infrastructure that has resulted on increased demand for new public services. The ORR project aims to not only delineate rural urban boundary and to create integrated infrastructure development corridor but also to create a new and planned settlement for Kathmandu Valley. Management of the population growth and developing valley to a livable urban area through planned urban development is today’s need. 2 Supply Urbanization in Kathmandu valley is taking place haphazardly. Management of of settlement pattern, decentralization of commercial and institutional activities in the peripheral areas of Kathmandu city through the development of new business centers and infrastructure development at different nodal points are difficult to achieve at present condition because of the lack of required infrastructure. The proposed 72 km Outer Ring Road project will connect many isolated nodal points of the areas of Kathmandu valley. So, timely planning intervention is necessary to address the impacts of haphazard urbanization. 3 Opportunity Interconnecting the three cities (Kathmandu, Lalitpur & Bhaktapur) of Kathmandu Valley through a single road network will help to manage urbanization and improve mobility condition of Kathmandu Valley. Land acquisition along the corridor (250 m on either side from the center line of the road) will provide opportunity to develop planned urbanization (for instance, business centers, high rise apartments, institutions etc.) along the road corridor. SN FEATURES CHARACTERISTICS DEVELOPMENT MODALITY 1 Development modality Private Investment 2 Role of Government of Nepal n Facilitation of various legal approvals n Government permits and approvals n Facilitation of land acquisition to provide Right-of-Way (ROW) & required land for the project 3 Role of the Private Sector n Plan, design, finance, construct, and develop the envisioned facilities and other component of the project (Road and other Physical Infrastructure) n Handover of the road project to the Government after completion of construction n Business development along corridor 4 Development Period 1. Feasibility Study - 1 year 2. DPR & Financial Closure – 1 year 3. Construction – 5 years INDICATIVE FINANCIALS 1 Total Project Cost (Road USD 1871 million development) n Land acquisition USD 1544 million n Road construction USD 327 million APPLICATION PROCEDURE PRE-QUALIFYING CRITERIA FOR THIS PROJECT 1) At least ten years’ experience of developing and managing a minimum of 20 kilometres urban road projects. 2) Net worth equivalent to at least USD 600 million at the time of making the application/proposal. APPLICATION PROCEDURE 1. The developer/ investor who meet the above pre-qualifying criteria can make the application for this project. 2. Application may be made by a single entity or a group of entities (Consortium or JV) comprising up to three different companies/ parties, including a Lead member, coming together to implement the project. 3. A consortium/JV may fulfil the pre-qualifying criteria in a joint/cumulative manner, except for the number of years of work experience. 4. A fee of NRs 10,000 shall be payable for each application made (with application to one project counting as a single application). 5. The fee must be paid to OIBN (to the OIBN office or a dedicated desk at the Nepal Investment Summit), or by electronic transfer to the following bank account of OIBN: Office Code: 301003502 Office Name: Office of the Investment Board Revenue Heading: 14229 Bank Name: Everest Bank Ltd. Swift Code: EVBLNPKA Please use ‘Company name_Project name’ as the reference code for the payment made in the case of an online payment. 6. After payment of the fee is made, the OIBN shall assign an engagement manager and may provide additional documents or information relevant to the project (if available). 7. Applicants should submit the detailed proposal with all required documents by 20th April 2019. Applications shall be submitted in physical copies to the OIBN or emailed to [email protected]. 8. The Government of Nepal (OIBN or relevant government agency at the relevant level of government) shall review the proposal and ask additional information if required. 9. The Government of Nepal shall decide on your application by 31st May 2019. DETAILED PROPOSAL CHECKLIST 1. Detailed profile of the developers/ investors, including profile of senior management team, annual report and audited financial statements for at least past three years (2015, 2016 & 2017), and consortium agreement or JV agreement or Memorandum of Understanding in the case of consortiums or JV. 2. Project concept, plan, and information on financial, economic, technical and environmental feasibility. 3. Method of project implementation, project development modality and work schedule 4. Business plan with basic financial statements 5. Financial arrangement and source of investment 6. Socio-economic contribution to Nepal 7. Expected support from GoN 8. Other relevant information, if any APPLY NOW CONTACT DETAILS Office of the Investment Board ICC Complex, New Baneshwor Kathmandu, Nepal Phone: 977-1-4475277,977-1-4475278 Fax: 977-1-4475281 Email: [email protected] .
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